This pellet production line is one of the largest in Asia. Below we analysis the market of biomass fuel pellets in Vietnam. Hope it is useful to your business.

Market Analysis of Biomass Pellets In Vietnam

Most countries in Asia are developing country including Vietnam. The demand for biomass fuel is strong in Vietnam. Bio-fuel is known for cheap, clean, eco-friendly, renewable and wide application. Biomass pellets and briquettes for example, can be used for both home heating and industrial power generation. According To Statistics, about 70% of rural population in Vietnam use biomass fuel for daily cooking and heating. And the number of rural population in Vietnam is 61.3 million, 72.9% of its whole population. Besides, a large number of bio-fuel is applied to drying process of agricultural industry, wood processing industry, cement industry and brick making industry.

In the recent years, more and more people and companies realized that wood pellets are much better than firewood and coal. And the number is still rising.This one thing important for local investors: not only the domestic needs of wood pellets is strong, but also the international market.

Raw Materials for Pelleting

There are mainly two types of pellets: wood pellets and other biomass pellets. Wood pellets are more popular in the world market because of its good combustion characteristics. Except wood materials, there are also a wide range of biomass materials for making pellets of different grades and usage. Some is ideal for small scale home uses, some may be more suitable for industrial use such as power plants.

In Vietnam, plenty of wood residues and wastes are produced every day by wood processing factories. Today, most of wood processing factories still adopt oil techniques which produces high rate of wood residues. Only 40% of the timber is used in the finished products and about 60% are left as wastes. So the resources of wood wastes such as saw dust and wood chips are rich and cheap in Vietnam, which is a good news for wood pellets manufactures and those who want to invest in biomass pellets or plan to build a wood pellet line. Moreover, Vietnam is an agriculture-oriented country. So the amount of agriculture wastes such as bagasse, corn stalk, rice husk and peanut shells are all rich. These residues are also good biomass materials for pellet production.